Set up Limited Company

What are Personal service companies?

Personal service companies are limited companies set up by individuals to provide their professional services, typically used by contractors, consultants, and freelancers who work for clients rather than being directly employed. These companies allow you to operate through a corporate structure whilst maintaining control over your business activities, though they're subject to specific HMRC rules including IR35 regulations that determine whether you're genuinely in business or simply disguising employment.

Last updated
July 23, 2025
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What are Personal service companies?

What is a Personal Service Company (PSC)?

While there isn’t a legal or formal definition of the term, personal service companies (PSC) refer to limited companies that are owned by a contractor, who is also the only shareholder and sole director. In some instances, the company may also be owned by a very small group of individuals.

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Sole Trader vs Limited Company - Find Your Best Fit
CalculatorsSole Trader vs Limited Company Calculator and Assessment

Our sole trader vs limited company calculator helps you determine the most tax-efficient business structure by comparing your potential take-home income, National Insurance contributions, and Corporation Tax liabilities. Simply input your expected annual profit to receive an instant comparison showing which option could save you money with HMRC.

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Registering a Limited Company Guide
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Registering a Limited Company Guide

We walk through every step of the Limited Company registration process to help you understand whether you should start the limited company registration process.

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